Malaysia鈥檚 second largest pension fund, Kumpulan Wang Persaraan Diperbadankan (KWAP), has put a Sydney office tower on the market.
The buidling at 20 Bridge Street is home to the Australian Securities Exchange (ASX) and has a price tag of at least AUD325m (鈧�232m).
It was reported last year that the pension fund was considering selling the building, which it acquired for AUD185m in 2011.
It would be the first time that KWAP, the pension fund for civil servants, has sold a real estate asset in Australia. It owns seven assets, including two logistics facilities that it recently purchased. Several of its office buildings are managed by Investa Property Group.
Last year, KWAP sold a London City property at 88 Wood Street for 拢270m (鈧�310m), three years aftering buying it for 拢215m.
Simon Fenn, managing director of NSW, said the marketing of 20 Bridge Street was a rare opportunity to purchase a 100% interest in a building in Sydney鈥檚 central business district. It is one of six buildings valued at more than AUD200m located within the area.
Fenn told IPE Real Estate: 鈥淲e expect a strong mix of both local and offshore interest, likely to come from China, Hong Kong, Singapore, Japan and parts of Europe,鈥� Fenn said.
鈥淭he ASX underpins the income but there are also other key tenants in the building. The price will be driven by a number of factors.鈥�
The building is 96% leased, with a long weighted average lease expiry of more than seven years.
The ASX occupies more than 45% of the building, with a lease expiry of more than 11 years.
Fenn said the building is will benefit from the uplift in the Circular Quay precinct that is being redeveloped over the next 5 years
鈥淭he NSW State Government is also investing in infrastructure and transport by upgrading Circular Quay and providing a Light Rail network down nearby George Street,鈥� Fenn said.
